NATURAL RESOURCES CODE
CHAPTER 88. CONTROL OF OIL PROPERTY
SUBCHAPTER A. GENERAL PROVISIONS
§ 88.001. DEFINITIONS. In this chapter:
(1) "Commission" means the Railroad Commission of
Texas.
(2) "Governmental agent" or "governmental agency"
means the Railroad Commission of Texas and any other administrative
governmental board and governmental agent to which the legislature
delegates the duty of supervising the production of oil and gas in
the State of Texas.
(3) "Oil property" means a well producing oil, gas, or
oil and gas, and any group of such contiguous wells of any number
owned, operated, or controlled as a producing unit by the same
person in the same locality, and any leasehold estate to the extent
that it is owned, operated, and controlled by the same person.
Acts 1977, 65th Leg., p. 2547, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
[Sections 88.002 to 88.010 reserved for expansion]
SUBCHAPTER B. RULES
§ 88.011. ADOPTION OF RULES. (a) The governmental
agency may promulgate and adopt rules:
(1) to provide for the method of measuring oil and gas
produced from any well in this state and to provide for the type of
measuring devices to be used in obtaining the measurement;
(2) for the inspection of all oil properties to
ascertain that the prescribed measuring devices are installed, are
in accurate working condition, and are being accurately used;
(3) to provide that no oil or gas is being permitted to
leave the possession of the producer without first being accurately
measured and an accurate record of production made and preserved;
(4) to provide that no oil is being produced from a
well producing both oil and gas without burning a flare or flares if
the installation and use of a flare or flares is required by the
terms of this chapter;
(5) for the keeping of complete and accurate records
correctly reflecting the amount of oil or gas or both produced from
each oil property each calendar day and the disposition and method
of disposition of all the oil and gas produced, and for the monthly
filing with the governmental agency of monthly reports accurately
reflecting the true facts with respect to all such matters; and
(6) for the inspection and examination by the
governmental agency, or its agents, servants, and employees, of all
oil properties and the records provided for in this chapter.
(b) The rules shall be adopted in the manner provided by law
for adoption of rules of the commission.
Acts 1977, 65th Leg., p. 2547, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.012. RULES AND ORDERS RELATING TO RECORDS AND
REPORTS. The rules and orders of the governmental agency relating
to records and reports shall prescribe the form in which the records
and reports will be made and kept, but the records and reports shall
contain the data and information provided for in this chapter.
Acts 1977, 65th Leg., p. 2548, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.013. NOTICE BY PUBLICATION. (a) When the
governmental agency adopts a rule under this chapter, the
governmental agency shall publish a complete copy of the rule once
each day for three consecutive days in three newspapers of general
circulation in the state, to be selected by the governmental
agency.
(b) Notice of any amendment, repeal, alteration, or
modification of the order may be similarly adopted and will become
effective after similar notice.
Acts 1977, 65th Leg., p. 2548, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
[Sections 88.014 to 88.050 reserved for expansion]
SUBCHAPTER C. PRACTICES PROHIBITED IN THE PRODUCTION OF OIL AND GAS
§ 88.051. PRODUCTION PROHIBITED IN EXCESS OF ALLOWABLE
AMOUNT. No person owning, leasing, operating, producing, or
controlling an oil property or any oil well in this state may
produce or cause to be produced on any day from any oil property or
oil well any oil in excess of the amount allowed to be produced each
day from the oil property or oil well under an order previously
adopted by the governmental agency and in force at the time.
Acts 1977, 65th Leg., p. 2548, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.052. PROHIBITED PASSAGE FROM CONTROL OF PRODUCER
WITHOUT MEASUREMENT AND RECORD OF AMOUNT. No person owning,
leasing, operating, or controlling an oil property in this state
may permit the oil or gas produced to pass beyond the possession or
control of that person to the possession or control of any other
person without first accurately measuring the amount of the oil or
gas and making and preserving an accurate record of the amount.
Acts 1977, 65th Leg., p. 2548, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.053. PROHIBITED EVASION OR PREVENTION OF ACCURATE
MEASUREMENT. No person owning, leasing, operating, or controlling
an oil property in this state may use a method or device to evade or
prevent obtaining the accurate measurement as provided in Section
88.052 of this code.
Acts 1977, 65th Leg., p. 2548, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.0531. CRIMINAL PENALTY. (a) A person who
knowingly violates Section 88.052 or 88.053 of this code commits an
offense.
(b) An offense under this section is a Class A misdemeanor
unless the actor has been convicted previously under this section,
in which event the offense is a felony of the third degree.
Added by Acts 1983, 68th Leg., p. 5231, ch. 960, § 2, eff. Sept.
1, 1983.
§ 88.054. PASSAGE FROM CONTROL OF PRODUCER PROHIBITED IF
TANK NOT UNDER HIS CONTROL. No person owning, leasing, operating,
or controlling an oil property may permit oil produced by him in
this state to pass from his possession or control to the possession
or control of any other person except from a tank or tanks under the
control of the person producing the oil.
Acts 1977, 65th Leg., p. 2549, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.055. PRODUCTION PROHIBITED WITHOUT FLARE. If the
gas from a well producing both oil and gas is not trapped and used
and the gas is capable of being burned in a flare, no person owning,
leasing, operating, or controlling an oil property in this state
may produce oil from the well at any time without simultaneously and
continuously burning a flare to consume all gas that otherwise
would be permitted to escape into the open air. The Railroad
Commission of Texas shall have the authority to grant exceptions to
this section.
Acts 1977, 65th Leg., p. 2549, ch. 871, art. I, § 1, eff. Sept. 1,
1977. Amended by Acts 1989, 71st Leg., ch. 565, § 1, eff. June
14, 1989.
§ 88.056. IDENTIFYING SIGNS. Each oil property in this
state, each tank owned or controlled by such person to which the
property is connected, and each flare to which the property is
connected shall be posted at all times with a sign written in the
English language with letters at least one inch in height, stating:
(1) the name of the owner of the property;
(2) the operator of the property;
(3) the number of acres contained in the property; and
(4) the name by which the property is commonly known
and identified.
Acts 1977, 65th Leg., p. 2549, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
[Sections 88.057 to 88.090 reserved for expansion]
SUBCHAPTER D. INSPECTION AND EXAMINATION OF OIL PROPERTY
§ 88.091. ACCESS TO PROPERTY AND RECORDS. The
governmental agency shall have access at all times to:
(1) the oil property of all persons for inspection and
examination; and
(2) the records of all these persons for inspection,
examination, and audit.
Acts 1977, 65th Leg., p. 2549, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.092. PROHIBITED INTERFERENCE WITH ACCESS AND
INSPECTION. No person may:
(1) refuse to permit the governmental agency, or an
agent, servant, representative, or employee of the governmental
agency, to have access to an oil property for inspection and
examination;
(2) interfere with the inspection and examination;
(3) remove, tamper with, mutilate, or destroy a
device, seal, or meter on an oil property placed there or used in
the inspection and examination; or
(4) refuse to permit the governmental agency, or an
agent, servant, representative, or employee of the governmental
agency, to have access, for inspection, examination, and audit, to
the books, documents, and records pertaining to, used in connection
with, or required to be used in connection with an oil property.
Acts 1977, 65th Leg., p. 2549, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.093. PROHIBITED EQUIPMENT OR ENCLOSURE. No person
owning, leasing, operating, or controlling an oil property in this
state may equip or enclose his oil property, or any part of his oil
property, in a manner that:
(1) prevents inspection and examination; or
(2) prevents an inspection and examination from
revealing the true facts with respect to:
(A) the amount of oil or oil and gas being
produced from the oil property;
(B) the manner in which the oil property is being
operated; or
(C) the manner and method by which the production
from the oil property is produced, stored, or delivered from the
possession or control of that person.
Acts 1977, 65th Leg., p. 2550, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.094. PROHIBITED GIFT OR GRATUITY. No person may
corruptly give, offer, or promise to give a member of the
governmental agency, chief supervisor, deputy supervisor, or any
agent or employee of the governmental agency a gift or gratuity with
intent to influence the officer or person in his acts or conduct
with respect to:
(1) enforcing any provision of the law applicable to
oil and gas in force at the time in this state;
(2) enforcing any order or rule of the governmental
agency adopted under the power and authority given to it; or
(3) the discharge of any duty imposed on him by the oil
and gas laws, orders, and rules duly promulgated and in force at the
time in this state.
Acts 1977, 65th Leg., p. 2550, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
[Sections 88.095 to 88.130 reserved for expansion]
SUBCHAPTER E. ENFORCEMENT; PENALTIES
§ 88.131. VENUE. The courts of the county in which the
oil property or any part of the oil property is located and with
respect to which a violation of the provisions of this chapter is
charged, the courts of Travis County, or the courts of the county of
the residence of any defendant, have jurisdiction of all
prosecutions for violations of the provisions of this chapter.
Acts 1977, 65th Leg., p. 2550, ch. 871, art. I, § 1, eff. Sept. 1,
1977. Amended by Acts 1983, 68th Leg., p. 5251, ch. 967, § 1,
eff. Sept. 1, 1983.
§ 88.132. SERVICE OF PROCESS. (a) In a suit or action
involving the enforcement of the conservation laws of this state or
the orders of the commission affecting the conservation of the
natural resources of this state, a Texas Ranger or an agent of the
commission may serve civil or judicial process, citation, notice,
warrant, subpoena, or writ, including process of every character in
contempt proceedings, the same and as fully as a sheriff or
constable of a county to whom the process, writ, notice, citation,
subpoena, or warrant might be directed could within the limits of
his own county.
(b) A ranger or an agent of the commission may serve the
process anywhere in the State of Texas although it may be directed
to "any sheriff or constable" of a particular county. He shall make
the same return as any other officer, sign his name, and add under
his name the title of "State Ranger" or "Agent, Railroad Commission
of Texas," as the case may be, which is sufficient to make it valid
if the writ otherwise is properly prepared.
(c) No fees are allowed the rangers or agents of the
commission other than their regular salary or compensation.
Acts 1977, 65th Leg., p. 2550, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.133. RESPONSIBILITY FOR COMPLIANCE AND LIABILITY TO
PROSECUTION. The president of each corporation, the chief
managing executive of each association, all active members of each
firm and partnership, and all trustees of each trust subject to the
provisions of this chapter shall be responsible for the compliance
with the terms of this chapter by the corporation, association,
firm, partnership, or trust of which he is, respectively,
president, chief managing executive, member, or trustee, and he
shall be liable to prosecution under and subject to the criminal
penalties provided in this chapter for violations of this chapter
by the respective corporation, association, firm, partnership, or
trust of which he has actual knowledge or to which he assents.
Acts 1977, 65th Leg., p. 2551, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.134. PENALTIES. (a) A person who violates any of
the provisions of Sections 88.091 through 88.093 of this code, or
any person who fails to comply with any of the provisions of those
sections, is guilty of a misdemeanor and on conviction shall be
subject to a fine of not more than $500, or by confinement in the
county jail for not more than six months, or by both.
(b) A person who violates any other provision of this
chapter other than those covered by Subsection (a) of this section,
a person who fails to comply with any of the other terms of this
chapter, a person who fails to comply with the terms of a rule or
order adopted by the governmental agency under the terms of this
chapter, or a person who violates any of the rules or orders of the
governmental agency adopted under the provisions of this chapter on
conviction is considered guilty of a felony and on conviction shall
be punished by imprisonment in the state penitentiary for a term of
not less than two nor more than four years.
Acts 1977, 65th Leg., p. 2551, ch. 871, art. I, § 1, eff. Sept. 1,
1977.
§ 88.135. CIVIL PENALTIES AND INJUNCTIONS. In addition
to the powers specifically granted to the commission under this
chapter, the commission may enforce this chapter or any rule,
order, or permit of the commission adopted under this chapter in the
same manner and subject to the same conditions as provided by
Chapters 81 and 85 of this code, including recovering civil
penalties and seeking injunctive relief as provided by those
chapters.
Added by Acts 1983, 68th Leg., p. 5260, ch. 967, § 7, eff. Sept.
1, 1983.
